Ambu (AMBU) Q1 24/25 earnings summary

Executive summary

• Achieved 19.5% organic revenue growth and a 16.1% EBIT margin in Q1 2024/25, with all geographies contributing positively and strong performance in Endoscopy Solutions and Anaesthesia & Patient Monitoring.

• Upgraded full-year 2024/25 guidance: organic revenue growth now 11-14% (was 10-13%), EBIT margin 13-15% (was 12-14%), following robust Q1 results.

• Expanded leadership in pulmonology and airway management with SureSight Connect registration and commercial launches in urology.

• Continued execution of operational and sustainability strategies, including bioplastics in all endoscope handles.

• Financial guidance for the year was upgraded, supported by innovation and operational leverage.

Financial highlights

• Q1 2024/25 revenue was DKK 1,510m, up 20.4% year-over-year; organic growth 19.5%.

• EBIT margin before special items: 16.1%, up over six percentage points year-over-year.

• Gross margin reached 61.3%, up 2.4 percentage points year-over-year, driven by price increases, product mix, and manufacturing efficiency.

• Free cash flow was DKK 69m, down from DKK 135m year-over-year, impacted by higher inventories and CapEx.

• Net profit for the period was DKK 183m, up from DKK 92m year-over-year; EPS was DKK 0.68.

Outlook and guidance

• Upgraded 2024/25 guidance: organic revenue growth 11-14%, EBIT margin 13-15%, free cash flow before acquisitions DKK +500m.

• Endoscopy Solutions expected to grow over 15%; Anaesthesia & Patient Monitoring to grow mid- to high-single digits.

• Anesthesia and Patient Monitoring growth expected to moderate as price effects wane, with Q2 stronger than H2.

• Free cash flow guidance maintained at DKK 500 million.